Senwes Integrated Reports Senwes 2013/2014 Integrated Report | Page 6

Financial Highlights 2014 2013 291 280 251 307 Normalised headline earnings per share (cents) 99 152 Return on opening equity (%) 15.7 22.3 2014 2013 Total shareholders’ return (%) 8.0 22.3 Dividend yield (%) 4.6 6.8 Financial performance 4% Profit after tax from continuing operations (R'm) 18% 35% 6.6% Investors’ value 14.3% 2.2% Risk profi le 0% 25% 4 Own capital ratio (%) Interest cover (times) 2014 40 4.0 Interpretation The results were under pressure due to the drought; the performance of the Mechanisation and Credit exceeded expectations. During the year Senwes decided to restructure its African operations. This, together with decreased operating activities, resulted in an 18% decrease in profit before tax. Normalised headline earnings decreased due to the drought and associated lower stock levels as well as the weaker financial position of producers. Even though the return on equity decreased, Senwes performed in the upper quartile of the agricultural industry. The share price followed the financial performance and did not deliver the same return as the previous year. The dividend yield of 4.6% still reflects a stable cash flow for investors. 2013 40 5.3 The own capital ratio is within the capital maintenance guidelines of between 35% to 45%. The decrease was due to lower operational profit, but is still higher than the minimum set level for interest cover of 2.5 times.